Issue - decisions

Dedicated Schools Grant Deficit Recovery

25/03/2021 - Dedicated Schools Grant (DSG) Deficit Recovery

Councillor Tamoor Tariq, Cabinet Member for Children, Young People & Skills, presented the report which outlined the outcome of the work with the Department for Education (DfE) including additional funding that is being made available, the delivery plan and the expected outcomes against which the Council will be monitored. It was noted that in total, funding of £20.5m revenue and £4m capital had been awarded by the Secretary of State following recommendations from the DfE. The funding will be received over 4 years up to 2024/25 including £6m that will be awarded in the current financial year.

 

In response to Member questions, the Cabinet Member advised he had been open and honest about the deficit which had arisen due to demand pressures, and this had allowed the Council to focus on the best way to move forwards and help families and young people. It was noted that other Councils were able to address similar deficits through their reserve funds which were larger than Bury’s. It was agreed this was an opportunity to work with parents and schools to improve services or provide them differently, and would put the Council in a better position financially.

 

Decision:

That Cabinet:

·         Notes the DSG recovery agreement between the Department for Education and Council which forms the basis of the grant agreement that the Council has been required to sign up to.

·         Supports the decisions required by officers to deliver the recovery plan within the agreed timeframe.

·         Notes the financial support provided by the DfE in assisting Bury Council to recover the DSG deficit and the expectation that this will lead to a balanced position by the end of 2024/25.

·         Notes that the settlement reached with the DfE will bring significant additional government funding into Bury to remove a large proportion of the DSG overspend.

·         Notes that the settlement gives the Council funding to improve services, including services for children and families with SEND; better services here in Bury will replace more expensive services further away.

·         Agrees that no decisions for change affecting individual children and families will be made without them.

 

Reasons for the decision:

In accepting the funding, the Council has had to sign a detailed agreement with the DfE, to ensure there is clarity on the basis on which the funding has been made and to be clear about the outcomes.

 

Other options considered and rejected:

None.